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Polymarket bets: how traders use markets and arbitrage

Polymarket bets are shares that pay $1 if an outcome resolves YES and $0 otherwise. Traders use the CLOB to buy and sell binary and multi-outcome positions; fair prices sum to $1. If you’re looking to trade or arbitrage on Polymarket, understanding best asks, tick size, and resolution risk is essential. PolyArb is a non-custodial bot ($99/month) that targets intra-market arbitrage with 40ms latency and a $7.62 minimum guaranteed edge per trade.

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How Polymarket bets work

Every Polymarket bet is an outcome token under the Gnosis CTF; each token redeems for $1 if it resolves YES. Binary markets have YES and NO outcomes whose fair prices sum to $1. Trading occurs on a Central Limit Order Book (CLOB) on Polygon using pUSD as the settlement asset, and Polymarket sponsors gas via its Relayer so end users do not pay gas directly.

Order types include limit and FAK market orders. Tick size is typically $0.01 and can tighten to $0.001 near price extremes. Resolution is reported by the UMA optimistic oracle; disputes can pause settlement and affect timing.

Where arbitrage shows up in bets

Intra-market arbitrage appears when the sum of best-ask prices across complementary outcomes is below $1. For binaries that means bestAsk(YES) + bestAsk(NO) < $1; for multi-outcome markets it’s Σ bestAsk(outcome_i) < $1. Buying the full set mints a complete set of CTF tokens and locks the mathematical edge.

This spread is mathematical but not risk-free: you must account for partial fills, slippage, taker fees, UMA disputes that delay redemption, and smart-contract risk. PolyArb automates detection and execution while surfacing these risks in alerts.

Why traders choose PolyArb

PolyArb is a non-custodial arbitrage bot built for Polymarket activity. At $99/month it offers 40ms latency compared with ~800ms for many free bots, 24/7 Telegram and Discord alerts, and a stated $7.62 minimum guaranteed edge per executed trade. The product targets intra-market binary and multi-outcome combinations and runs on-chain operations through your wallet without custody.

PolyArb is designed for traders who want automated, low-latency capture of short-lived spreads. It does not remove resolution, counterparty, or smart-contract risks; those remain part of trading on Polymarket.

Alternatives and when to use them

If your goal is speculation rather than arbitrage, native Polymarket UI or third-party trackers may suffice. Cross-platform comparisons (Kalshi, PredictIt, Manifold) are different instruments with their own rules and are out of scope for PolyArb’s intramarket engine.

Use PolyArb when you need low-latency, automated capture of intra-Polymarket edges and want alerting and non-custodial execution. For manual trading or events with heavy dispute risk, weigh the trade-offs carefully.

Start capturing Polymarket bets with PolyArb

Try PolyArb today — non-custodial automation, low latency, and alerts for intra-market arbitrage. Subscribe at $99/month to get started with live trading.

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FAQ

What are Polymarket bets?
Polymarket bets are outcome tokens traded on a CLOB that redeem for $1 if the tied outcome resolves YES. Binaries have YES and NO; multi-outcome markets allocate $1 across all outcomes at fair value.
Can I arbitrage Polymarket bets automatically?
Yes — intra-market arbitrage is common when best-ask sums are below $1. Tools like PolyArb automate detection and execution, but you must still manage slippage, fees, and resolution risk.
Is PolyArb custodial or non-custodial?
PolyArb is non-custodial. It routes on-chain CTF operations and order placement through your wallet while using the Polymarket Relayer for gasless transactions.
How much does PolyArb cost and what does it include?
PolyArb costs $99/month and advertises 40ms latency, Telegram + Discord alerts, and a $7.62 minimum guaranteed edge per trade. It focuses on intra-market binary and multi-outcome arbitrage.

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